Tuesday 15 January 2008

Perspectives of globalization

“Globalization” is a wooly term. It is also taken to mean Americanization, however questions of semantics though intellectually challenging have often, to be set aside, when one is confronted with serious practical issues. In the present work, the term is used in a shell empirical sense. Globalization means privatization of world economy.

Globalization generally refers to a package of socio-economic reforms that include liberalization, privatization and global interaction with special focus on market economy and economic efficiency in all sectors. Therefore, globalization is a process that involves the entire world, leaving marks on every human activity. How ever, it describes growing global interconnectedness and represents a significant shift in the spatial form of socio-cultural relations. Further more, it involves the organization and exercise of power at global scale. In this way, the interaction between local and global process becomes increasingly important. In other words, globalization is a multidimensional process, which characterizes homogenization of economy and culture, increased connectedness and interdependence. It applies to the whole range of socio-economic relations and all aspects of social life from the food we eat to the clothes we wear and the substantionability of environment. It is true that not all small units are disappearing under globalization some do survive. Due to globalization, small units must be globally competitive through technology up gradation. In other words, what is relevant is not just globalization but glocalization that is globalization at the local level.

I. Indian perspectives of Globalization.

If one is going to talk about globalization, the term globalization must be defined. That is the easy party. Globalization is defined as free cross border flow of goods, services, capital, labor, information, ideas, and intellectual property. Everything in fact. Globalization has a descriptive component, as well as a prescriptive one, the latter is more important than the former. The former is simply a factual statement. Today globalization is a faster one. There are however two differences between earlier phase of globalization and the present one. First, the speed of change is faster. Second, because most flows (including capital) are private ones, governments have become less powerful in controlling or determining the shape of globalization. Indian reaction to globalization cannot be considered independent of Indian reactions to liberalization. Globalization is so far as it only concerns the external sector, a subset of liberalization. According to the state reforms, it is more pertinent to say that non-liberalization is a subset of non-globalization.

The Canadian publisher Campbell Hughes had the following definition of a Canadian (related with globalization). “ A Canadian is someone who drinks Brazilian coffee from an English tea cup and munches on French pastry while sitting on his Danish furniture having just come home from an Italian movie in his German car. He picks up his Japanese pen and writes to this Member of Parliament to complain about American take over of the Canadian publishing business”. This is a very apt description of the urban Indian middle class.

The liberalization agenda is well known. Once liberalization is implemented, the globalization agenda will follow. That does not need debating. The question to ask is, why is it difficult to push through this agenda? The implicit assumption is that politicians and political parties do not know what is good for enough. They are irrationals. They do not realize that good economics is good is good politics. This is probably a facile assumption. Politicians and political parties are just as rational and anyone else. The reforms have increased disparities states, this is increasingly reflected in higher rates of growth in Gujarat, Maharashtra, New Delhi, Calcutta, and some of the South Indian states. The faster growing states also tend to have lower rate of population growth, leading to higher rates of per capita growth. But there is no evidence yet, of relatively backward states learning from the experiences of faster growing states and replicate that experience.

If one divides voters into urban and rural segments, the evidence is more like the following. Rural voting patterns rarely reflect economic issues and are influenced much more by the local considerations. Urban voting patterns do reflect economic issues, including liberalization. But if the earlier arguments are accepted, the conclusion is that there was support for globalization; because the middle class benefited as consumers. How ever increasingly, one has lost the support for liberalization, since the middle class tends to lose all producers. The three positive developments need to be mentioned.

Firstly, there is some limited evidence that the worst of the downturn is over. Three major segments of Indian society (large-scale industry, small industry, agriculture) have suffered for various reasons and have inevitably ascribed all their travails to globalization and W.T.O. Large scale industry wants high profitability and wants to postpone the



inevitable shakeout. Small-scale industry wants protection, especially since there is import competition. In general, agriculture has been squeezed by high input prices and large farmers and millers want government-guaranteed high procurement prices. With the worst of the downturn over, it should become easier to push through reforms.

Secondly, agriculture reforms have been on the explicit agenda since 1998. Before that, they were not even on agenda. It is now accepted that agricultural reforms must encompass both procurement and distribution. It is also accepted that agriculture is not just about rice and wheat. Most agricultural reforms however have to be implemented by the states. That will be a long haul. But the prospects for agricultural reform are brighter than what they were three years ago.

Thirdly, despite the generalization that the middle class is against reforms, there are isolated instance of the middle class, a civil society, acting as a countervailing force and demanding better delivery on the part of the government, across a whole range of public services. With the help of globalization there are instance of NGO involvement in education (helped to push the literacy rate up from 52% in 1996 to 65% in 2001) demanding Right to Information acts, or in rating public services. This too has a pro-urban focus, but is also spilling over into rural areas.

Therefore, there is no particular reason to despair. India will be much more confident about globalization once the pre condition of liberalization takes place.



Is India benefiting from the policy of globalization?

India has been following a mixed economy approach towards economic development in which the activities of production and distribution were carried out by the government as well as the individuals. The purpose behind following such a policy was to eliminate poverty, reduce inequality in the distribution of income and wealth, and achieve stable economic growth with social justice. This approach helped India in creating a large industrial base and increase in industrial production. Many public sector enterprises went into looses due to corruption, lack of efficiency in work and ineffective management. Several other problems like shortage or adequate capital and technological backwardness led the government to revise the policy. In 1991, it was observed that the government’s expenditure far exceeded its revenue. This situation led the Indian government to borrow capital from international financial institutions such as the World Bank and IMF. Hence, a new economic policy was formed and the government decided to follow the policy of liberalization and globalization.

A number of complicated formalities like licensing, permission to import raw materials, regulation on price and distribution have been simplified to promote private enterprise. With globalization, Indian economy has integrated with world economy. In other words, we have become economically interdependent at the global or international level. Now many producers from outside our country are selling their goods and services in other countries. Globalization includes movement of not only capital, but laborers from one country to the other country as well. In this manner, Indian economy is now relating with the world economy. So that there is an exchange of capital, technology





and experience between various countries. Our government now encourages investors from abroad to invest in India.

Globalization has brought about noticeable changes in our country. We have better communication facilities and wide variety of electronic goods is now available at affordable prices. Many food-processing companies have entered our country and given us a lot choice to choose. India’s share of goods and services has increased marginally. Though some new jobs are being created in the economy, the policy has some how failed to generate additional job opportunities demanded skilled labor and technical knowledge, which was not available in rural sector.

However, there is a school of thought that rapid development due to globalization is depleting our resources and disturbing the ecological balance. It has been felt at times that the developed countries exploit the cheap labor and natural resources of the developing countries to suit their requirements. Environmentalists feel that rapid industrialization all over the world is creating a green house effect and causing global warming. Development should take place without damaging the environment and natural resources should be used judiciously so that our future generation does not suffer. The global concern today is therefore to adopt a strategy of economic growth that is eco-friendly. Eco- friendly development is called sustainable development, which is the need of the hour, and people all over the world are conscious of this issue.

Yet, another problem, which emanates due to globalization, is the encouragement of brain drain from developing countries to the developed ones. Globalization definitely encourages their process as MNC’s utilize intelligence and skilled managers of developing countries in developed countries.


II. Globalization and poverty


Globalization involves production, trade and finance. International trade has the potential to act as a powerful catalyst for poverty reduction. It can provide poor countries and people with access to markets; technologies and ideas need to sustain higher and more equitable patterns of growth.

Often in the end of discussions about poverty and globalization, critiques say that statistics give a superficial view. Economics is not everything. We should also ask poor people about what they think about globalization. We need a broad statistically sound selection of representative individuals. Recently that was done. According to the survey, 38000 people in 44 nations with coverage of the developing world in all regions, but that views of globalization are much more positive in poor countries than in rich ones.

This global attitude survey showed that only 28 percent of people in the U.S and Western Europe thought growing global trade and business ties was very good. It seems like Americans and Europeans more than others take freedom, wealth and technology for granted, without examing or understanding, the process of markets and internalization on which this depends. But people who are deprived of freedoms and opportunities see globalization as the way to get it.

Even though we have seen history’s biggest reduction in poverty, poverty is still with us, and in many places, it deepens. According to the World Bank 1-2, billions live in absolute poverty and 900 million people live in chronic hunger. History, statistics, theory and the poor themselves all say that the problem is not globalization, it is that they do not yet have access to the fruits of globalization.

III. Impact of Globalization in Culture

The impact of globalization is being felt around the world. Every country of the world wants to be part of the process of globalization. So that it can receive appropriate share of benefits out of it. It is precisely because global economy is penetrating into rural level and bringing rural economy at international level. In fact, globalization is playing important role in exchanging in economy and cultural values from one level to another. These cultural changes are practices have brought for the culture of development and culture of production.

Therefore, globalization is cutting across all geographical and political boundaries. The world is shrinking, not literary in size but in the ability and skill of people and of course, their idea to interact with people and places. However, the benefits from globalization are reaching more or less to every corner of the world and affecting every aspect of human life. Today people are plugged into global economy and culture. In this way it is producing a world that is economically, socially, culturally and politically more uniform, integrated and interdependent.

Globalization and Cultural changes

The impact of globalization on culture has been observed in many fields, that is economic, political and social. These are remarkably visible in the field of employment, education, health, people’s life style, food habits, beliefs, attitudes, knowledge, skills, ideas, thoughts, choice and objectives. Today people seem to be moving away from traditional values and are adopting new cultural values, religion, language, way of living, habits and so on; culturally, they are residing in different places, displaying fewer distinctions and more similarities in their cultural practices.

Impact of globalization on changing cultural order in relation to time and space is not easy to assess, as there is a global cultural diversification and complexities. However, dynamics of changing cultural order in terms of space and time can be examined as

A. Change in building and construction.

First change of globalization can be witnessed in the field of construction. Buildings and house built in one country or cities are being built on the similar pattern in other countries or regions. For example, underground rails, which are being built in London, New York and other cities, are also constructed in Delhi, Kolkatta and other cities of the world. Another example is construction of hotel complexes; flyovers and bridges are also constructed in many cities of the world in same architecture, which are being already built in many mega cities like London, Paris, New York, Mexico and Melbourne. Due to globalization faster means of transportations have been introduced, however building materials can be easily transported from one city or one country to another. These constructions are homogenous in architecture, shape and other aspects. How ever, it cannot be denied that globalization has brought revolution and uniformity in construction and building process. This can be termed as a uniform culture of building and constructions.




B. Change in clothing pattern.

Another major cultural transformation can be observed in the clothing patterns of people. Globalization has motivated people to wear new designed clothes. Today people are fascinated to wear new fashion and designs of clothes that is jeans, shirts, tops, skirts, jackets, T-shirts, shoe and other dress materials of their choice and brands. Wearing these type of dress materials has become status symbol. Here it is significant to mention that people have forgotten their traditional dress.

However, it is very much imperative that globalization has brought drastic changes in people’s clothing patterns. People are gradually giving up traditional clothes wearing and tempted to wear new design and style of clothes. Of course, it is also important to note that now-a-days people can buy any global brands and designs of clothes from markets. For example Addidas and Reebok from Germany, Levi’s and Nike from U.S.A. All these products are available in all part of the world. At same time traditional Indian dress- dhoti, sari, lehanga Chunni, Kurta- Payjama and other dress materials are available in U.S.A, Canada, England, Australia, Africa, and South American and Asian countries.

There fore globalization has brought total change in clothing patterns of the people all over the world. Dressing pattern of the people has become a fashion. Fashion technology is not producing new designs of clothes, according to people’s choice and interest, but boosting textile industry, generating global markets, providing employment opportunities, earning income and so on.

C. Change in Food Habits

Globalization has remarkably changed food habits of people and brought revolution in food processing business and markets as well. As a result of this, different taste and verities of global foods are available in the local markets. One can consume verities of dishes in one’s own country that is, burger of U.S.A, Italian pizza and Chicken biryani of Middle East. Coke, Pepsi and other beverages of U.S.A and other countries are very common which are being seen in each and every country around global market. South Indian foods especially dosa, idally, sambar, pickle and many more tasty dishes are equally available in European, American, African, Asian and Pacific countries. These food items are available not only in restaurants but also in star hotels and in other food resorts where these are being served in the name of continental dishes.

It may be mentioned here that urban people often feel to change their traditional food, and taste other country’s food. This has created demand developing restaurants and food resorts like Mac Donald’s, Domino’s Pizza, Pizza Huts, Nestle, Chinese and fast-food restaurants etc.. are running successfully in many parts of the world. It has created interest in people and tempted them to invest their capital in the most demanding industry. Now this is come under high profit business. This is helping people in many ways generating revenue, earning income, and providing job opportunities for the processing countries as well as the selling countries also. There fore globalization is playing crucial role in globalizing food production and thus changing people’s food habits too.






D. Change in Automobile production.

One of the most striking cultural changes is in the production of automobiles, especially cars, buses and mopeds. Global markets have been flooded with international brands of cars, bikes and buses. One can buy and drive any brands of cars or bikes in one’s own country, producing countries are selling their vehicles in all global markets. Different brands like B.M.W, Mercedes Benz, Volkswagen, Audi, Opel, CRV, Maruti, Indica and Chevrolet are available in different models with varying speeds are being sold like “hot cakes”. Every year four or five new models of cars are coming to the international markets and people are very much enthusiastic to buy them.

The automobile business is flourishing day by day all over the world. This sector is garnering foreign exchange, providing employment to skilled and unskilled laborers, generating income, stimulating entrepreneurships, and boosting market economy and of course, accelerating socio-economic development in the society. On the other hand, production of vehicles is not only used for transportation but also as the means of cultural transformation as these cars and bikes are the product of human brains and ideas. In this way, people get an opportunity to intermix with other cultures and understanding cultural values.

E. Diffusion of Communication.

Impact of globalization has also received overwhelming response in the field of communication diffusion. In real sense, communication system is connecting the whole world and bringing people closer to each other. Communication revolution equally promotes globalization of culture through television, telephone, computer and Internet. In this way, globalization is underlying the uniform cultural changes through communication. Apart from entertainment, communication has also enabled the people to understand the culture and other aspects of global phenomenon. Today one can easily know what is happening in Africa, lifestyle of people there, their socio-cultural life etc.. However, transmission of cultural values on T.V channels is the diffusion of culture.

Telephone and Internet changed the lifestyle of people very much in the field of communication. It can connect people from one corner to the other corner of the world. Internet is one of the cheapest means to convey message. So globalization is bringing whole world under one cultural umbrella through communication. Therefore, above discussion reveals that globalization permits people to receive and exchange cultural values through different means of communication not only connect one part to other part, but also unify the cultural values of the world. Today people are using international brands of electronic devices. In this way, globalization is displaying uniform culture through the means of communication and diffusing across the world.

Assessment of globalization’s impact on cultural change is a difficult task as it has produced unprecedented transformation in the global society. This change is discernible in the realms of economic development, transformation of social life of the people and cultural landscapes. This change has spurred the emergence of new cultural spectrum. However globalization has brought rapid place of change in socio-economic development and cultural
order of the society. In order to make the process of globalization more successful and meaningful, there is need to involve each and every country and all segments of the society. So that fruits of benefits could reach every one in equal proportion.






IV. Impact of globalization in Higher education.

The impact of globalization in the field of higher education is far reaching. Today the Indian aspirants can select subjects at their own choices and can pursue studies. We can see that foreign universities directly enter our country and attract students to their universities. This is an effect of globalization in the field of higher education. Foreign universities offer immense scholarships for their students (across the world). Many foreign students also pursue their education in our universities. This give and take policy in the field of education helps in the import and export of educational culture of this world. It is a fact that foreign universities are always ahead in modern technologies. Due to globalization, such technological advances also reach our country through the students who preserves study in foreign universities. Due to globalization, it is easier for students from different countries to study abroad. Students from different parts of the world can study different subjects of their choice. The greatest blessing of globalization is that in all the international universities there exist a good relationship between teachers and students.

Due to the influence of globalization, most of the universities provide/ offer scholarships for the students to study at international educational institutions. Today there are many more subjects that a student can at international universities. Especially in the case of study of language, today there are no restrictions, that is one person can study many languages that he wants at international universities. Twenty years ago, a person could study only one or two languages from a reputed international educational institution. Now all have changed. Today the internationally reputed institutions have a competitive spirit in giving quality and standard education. All most all the universities pay greater attention in providing quality education.

Due to globalization native students are in a better positions to interact with students from different nationalities, also there is an exchange of cultures, and it is easier to learn about other culture. Globalization helps students in getting international exposure. Globalization enhances moral values and helps in the exchange of ideas. The net outcome of globalization in the education field has been very beneficial. It has created many opportunities for the student community.

Structural shifts in Higher Education

There are some structural shifts in higher education due to globalization; some of the most conspicuous shifts are set out below.

From To

1. Social science/ Humanities, Professional and
basic sciences technical courses.

2. Knowledge. Skill.

3. Process (Teaching/learning) Product (the student).





4. Access/ Equity Quality / Excellence.

5. Social Relevance Market Relevance.


An aftereffect of globalization is the mutual exchange of modern knowledge in the field of education, especially the development in the field of medicine and technology. In conclusion, the after effect of globalization is the exchange and development of culture, heritage, research, interaction with students and teachers, upliftment of educational standards etc…











































Conclusion

Globalization rests on the argument that we are experiencing quantitatively and qualitatively different levels of international integration in the area of finance and production. Many now believe that the Western model should be applied everywhere. Globalization has made the world smaller and every one became savvier. In contrast, the underlying assumption with globalization is that the whole world is moving in the same direction towards the same destination. It is becoming and should become more and more like the west. The new attitude is driven by many factors. The emergence of an increasingly globalized market has inculcated a belief that we are all consumers now, all with a similar identity.

Globalization certainly produces winners and losers. The production becomes more concentrated in a more integrated world. The history of capitalism since the very beginning has been the history of western expansion and the system was always global. Thus, it is incorrect to say that globalization is totally new.



































Bibliography

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An article Published by Liberal Group Kerala.
Date of publication 2004.